How adding a premium can help increase average gift and ICR
Experiment ID: #59030
Luther Seminary
Experiment Summary
Ended On: 04/30/2021
We added the Hoover Digest (4 physical books that come out every quarter) as a $100 premium on the instant donation page once they downloaded the Dueling Populisms eBook. We launched this across Facebook with the hypothesis of it increasing both avg. gift and ICR.
Prior to launching this experiment, the avg gift was $32 with an ICR of 5.8%.
Research Question
We believe that by adding a $100 premium for the instant donation page will achieve an increase in avg gift and conversion rate.
Design
C: Control
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) ) )
Results
| Treatment Name | Conv. Rate | Relative Difference | Confidence | |
|---|---|---|---|---|
| C: | Control | 4.9% | ||
| T1: | Treatment #1 | 7.7% | 54.9% | 98.8% |
This experiment has a required sample size of 606 in order to be valid. Since the experiment had a total sample size of 2,043, and the level of confidence is above 95% the experiment results are valid.
Flux Metrics Affected
The Flux Metrics analyze the three primary metrics that affect revenue (traffic, conversion rate, and average gift). This experiment produced the following results:
0% increase in traffic
× 54.9% increase in conversion rate
× 0% increase in average gift
Key Learnings
By adding the premium we saw an increase in both the average gift and conversion rate. This experiment ran for 2 weeks and by the end of the experiment, the control’s average gift was $38.98 while the treatment with the premium had an average gift of $63.44. We also saw an increase in conversion rate of 55% with a conversion rate of 7.7%.
The results of this lift is a direct correlation to adding the premium, as everything else in the funnel stayed consistent. Part of the reason we saw the increase was how we positioned the digest and the value prop we added around what you get with the digest premium.
Here is the specific copy used around the image of the 4 digest books: Also, if you make a donation of $100 or more we will give you a one-year subscription—four physical copies—of the quarterly Hoover Digest. Each issue features about thirty articles from Hoover Institution scholars on a variety of topics including Democracy, Economics, National Security, and more.